• Cites import limitations and manufacturers seeking to profit from price hikes
• No hike in imported powdered milk and wheat flour 

The shortage of fresh milk in several areas is not due to the reduction in production but due to several other reasons including the anticipation of import limitations and to obtain the benefit of increased prices, the General Manager of the National Livestock Development Board (NLDB), Dr. K.G.J.S. Disnaka noted. 

When contacted by The Daily Morning yesterday (23), Dr. Disnaka said that the shortage of fresh milk being witnessed in several areas is not due to a production shortage, as certain fresh milk brands are available in supermarkets. However, shortages are witnessed outside owing to several reasons, he pointed out. He said that one of them is that companies which produce fresh milk from powdered milk which was imported were possibly not manufacturing in large quantities, envisaging import limitations in powdered milk. Furthermore, he noted that with the increase in fuel costs, there is a shortage of supplies being created in the hope of increasing prices as well. Dr. Disnaka also noted there was a shortage of fresh milk in the market during the month of March owing to the festive season. 

Fresh milk brands which are popular in many households are unavailable in certain shops and even smaller supermarkets. Shop owners claimed they had not received fresh stocks for the past two to three weeks, lamenting the next batches they receive may come with a price increase.   

Meanwhile, the prices of imported powdered milk and wheat flour in the country will not be increased under any circumstances, the Trade, Commerce, Food Security and Cooperative Development Ministry has announced. The assurance was given when powdered milk importers and wheat flour companies met with the subject Minister, Wasantha Samarasinghe yesterday.

The two parties held discussions regarding the impact of the ongoing conflict in the Middle East on supply and distribution networks, as well as maintaining a continuous supply.

During the meeting, the companies pledged that they would not raise prices. Although rising fuel prices and the appreciation of the US $ have affected their production costs, the companies stated their intention is to work with the Government to provide some relief to the public during the ongoing challenging period.

They also assured that sufficient stocks of imported powdered milk and wheat flour are available for the next three months, and that no price increases will be made until the end of the upcoming New Year season.

Furthermore, the companies pointed out that fuel quotas have impacted their distribution activities. It was also mentioned that the Minister had advised the companies to register for a special data collection program introduced to identify fuel requirements of transport service providers in the food distribution sector.